SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Leasing Solutions (LSN)
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Eben Battaglia who wrote (26)10/26/1998 11:51:00 PM
From: Ming  Read Replies (1) of 33
 
According to company, they have $1.4 bln worth of equipment. Consider that price of this equipment falls roughly to $0 in 5 years.
Yet revenue for this year was projected at 300 mln. Considering muted growth, rev from current equipment will equal roughly 2 billion over next 5 years. take away depreciation(1400 million over 5 years), sales, interest, marketing & management, & maintenance, (which well estimate at 400 mln over next 5 years) and pretax is roughly 40 mln /year. Assuming 33% tax rate, post-tax=26 mln/year. divided by 10 million shares(assuming potential dilution) gives earnings of $2.6/share/year over next 5 years.
Of course these are very rough calculations, and therefore cannot be too accurate. But IMO they show that the company can be very profitable. They do fit into the overall trend of outsourcing and reducing capital expenditure which is currently very popular with many companies. therefore, it seems that things look good for the long-term.

Any comments?
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News